Envestnet to offload Yodlee to private equity firm STG
Envestnet was acquired by PE firm Bain Capital in Nov 2024 for $4.5B
Wealthtech giant Envestnet has entered into an agreement to sell data analytics arm Yodlee to private equity firm STG.
The financial data aggregator has 19,000 data sources, and APIs in place to support its clients’ open banking migration, according to the company. Yodlee clients include more than 700 fintechs and 17 of the largest U.S. banks, including Citibank, JP Morgan Chase, Charles Schwab and Wells Fargo Bank. Its closest competitor is data aggregation platform Plaid.
“This move sharpens our strategic focus at Envestnet and enables us to reinvest even more deeply in our core wealth management platform — anchored in data-powered financial planning, open architecture, and expanded capabilities across fiduciary, asset management, and other solutions,” Envestnet Chief Executive Chris Todd said in a LinkedIn post this afternoon.
The deal, announced today, is expected to close in the third quarter of 2025, according to an Envestnet release. The sale price of Yodlee was not disclosed.
Marc Bala, managing director at STG, which has $12 billion in assets under management, said in the release: Yodlee “has built deep integrations across the financial ecosystem and earned the confidence of the world’s leading banks, asset managers and wealth platforms.”
Yodlee history
Envestnet, which purchased Yodlee in 2015 for $590 million, was interested in selling the data aggregation subsidiary in 2020 and 2023.
In 2023, analysts told BAN the sale would yield Envestnet up to $400 million, which could be used to pay off existing debt.
Envestnet, instead of offloading Yodlee at that time, was itself acquired in 2024 by private equity firm Bain Capital for $4.5 billion. The acquisition moved Envestnet off the New York Stock Exchange as the company went private following the deal.
Bain Capital declined to comment to BAN on the sale of Yodlee. STG did not respond to a request for comment before publication time.
Founded in 1999, Envestnet reported $6.5 trillion assets under management and revenue of $345.9 million, up 9% year over year during the third quarter of 2024, according to the company’s September 30, 2024, earnings report.
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